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Credit Woes Push BMW
To $375 Million Charge

By

Edward Taylor

Updated April 25, 2008 12:01 a.m. ET

The flow of easy credit that helped fuel auto sales in early 2007 has come back to bite BMW AG.

The German auto maker announced a &euro;236 million ($375 million) first-quarter charge to shield against a drop in used-car prices and to cover possible defaults on loans for leased vehicles amid signs that even luxury auto makers are getting hit by the fallout of the credit crunch.